It’s fair to say that cryptocurrencies have had a strange year. At one point, Bitcoin increased to over $60,000 and then dropped to half of its value, and that’s before we consider the rollercoaster ride we have taken with Dogecoin and NFT.
Throughout all of this uncertainty, there is an industry that has been on a steady ascent, one that is becoming more and more reliant on cryptocurrencies and the opportunities that it provides.
That industry is online gambling, and it’s taking advantage of the increasing player familiarity with the wide range of alt coins being traded every day.
The Rise of Bitcoin Casinos
According to a major Bitcoin casinos review site, there are currently over 370 online casinos that accept Bitcoin. And that’s just scratching the surface, as it only includes the sites that are licensed by major regulators, and it overlooks the many Bitcoin casinos that have come and gone over the last decade or so.
It’s quite an impressive number when you consider that some regulators, including those in the United Kingdom and Sweden, don’t look too fondly upon cryptocurrency casinos.
What’s even more impressive is that these numbers are beginning to outnumber non-cryptocurrency casinos outside of the UK and Sweden.
It’s indicative of just how quickly these digital coins have been embraced in the online gambling industry and it bodes well for the future, one that could see every legitimate online casino accepting cryptocurrencies.
The Benefits of Bitcoin Casinos
Bitcoin casinos make life easier for players everywhere. It means that crypto investors can use their favourite digital assets to gamble on online slots and table games. In many cases, they can also be used to place sports bets.
From an investment standpoint, it’s something that could generate millions of dollars’ worth of daily Bitcoin transactions while also forcing more merchants to accept them.
It has been estimated that the global online gambling industry is worth nearly $80 billion a year, and that’s just the beginning. It’s one of the fastest-growing industries in the world right now and it could be set to explode in the next few years.
Latin America has recently taken huge strides towards accepting online gambling companies and it’s expected that the United States will follow suit in the next decade or so. It creates endless opportunities for Bitcoins and alt coins and could also facilitate the creation and growth of coins developed specifically for the online gambling sector.
What’s more, as diehard fiat currency gamblers start learning about crypto gambling and the many benefits that it provides (faster payments, less verification), they could make the switch.
The more people that invest in cryptocurrencies and use these coins to gamble with, the higher the price will climb, and that’s great news for everyone.
The Downsides of Bitcoin Casinos
There are a few issues with Bitcoin casinos, and it’s these issues that are keeping the UK Gambling Commission at arm’s length.
Their biggest concern is that these coins can be used to launder money. They could also be used to gamble by people outside of legal gambling regions. It creates problems with fraud, problem gambling, and even underage gambling. As the industry moves to a faster and more convenient place, all of these requirements are being overlooked and that’s worrying the industry’s biggest regulators.
From an investment point of view, however, none of these really matter. It’s not going to hurt Bitcoin’s price over the long-term, and it’s highly unlikely that regulators in Curacao and Malta (where the biggest crypto casinos are based) will turn their backs on these currencies.
After all, they do what the players want, and as proven by the statistics at the outset of this guide, players clearly have an appetite for Bitcoin casinos.
There are also plenty of ways around these issues. Casinos can implement verification procedures to confirm that the player is who they say they are and resides in a legal gambling territory. Such procedures are already being used by the biggest and best cryptocurrency casinos and they are helping to eliminate underage gambling, money laundering, and illegal gambling.
It’s important to remember that the cryptocurrency gambling sector, like cryptocurrencies in general, is still in its infancy. It has a long way to go and a lot to learn, but it has come a very long way in the last few years and if that pace continues, it will have some exciting things in store for us in the next half-decade or so.
Andrew is a writer that does most of his work on cryptocurrency-related topics. While he’s primarily interested in Bitcoin, he also follows major altcoins and the innovative ideas that new cryptocurrency and blockchain projects are bringing to the table.